Precious Metals Preview: COMEX gold extends downside amid US-China trade talks optimism

COMEX gold extends downside in early Asia on Tuesday as growing optimism of positive trade talks between US and China is reducing appeal for the yellow metal. Trade talks between the United States (US) and China are scheduled to meet for a second day in London. US President Donald Trump said that the talks ?should go very well.? However, persistent geopolitical risks in the Middle East could keep the safe-haven metal supported. Moreover, data over the weekend showed that the People's Bank of China (PBoC), China?s central bank, bought Gold for the seventh straight month in May. PBoC?s gold reserves rose to 73.83 million fine troy ounces at the end of May from 73.77 million ounces at the end of April. Currently, the counter is quoting at $3325.60 an ounce, down 0.87% on the day. Meanwhile, on the MCX, gold futures held above Rs 97000 mark per 10 grams.

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